Currency speculators losers in Denmark's peg battle: IMF

Copenhagen

THREE months after Denmark became the target of a speculative attack against its currency regime, the International Monetary Fund (IMF) says the country's central bank has gained credibility after forcefully fighting back the onslaught.

Policymakers "did a good job of making it clear that the peg would stand and making it clear that it would be unprofitable to speculate against it", said Thomas Dorsey, the IMF's mission chief to Denmark. "Having for a generation-plus maintained the peg against pressure in both directions, they gain credibility each time and they did it again this time around."